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Unformatted text preview: ADO IT! 18-4 Queensland Company makes radios that sell for $29 each. For the coming year, management expects fixed costs to total $200,090 and variable costs to be $18 per unit. (a) Compute the break-even point in dollars using the contribution margin (CM) ratio. $ 526,553 (b) Compute the margin of safety ratio assuming actual sales are $745,400. 29.4 % (c) Compute the sales dollars required to earn net income of $117,716. $ 836332 AE18-8 Green with Envy provides environmentally friendly lawn services for homeowners. Its operating costs are as follows. Depreciation $2,419 per month Advertising 303 per month Insurance 3,326 per month Weed and feed materials 7 per lawn Direct labor 6 per lawn Fuel 1 per lawn Green with Envy charges $70 per treatment for the average single-family lawn. Determine the company's break-even point in (a) number of lawns serviced per month and (b) dollars. Break-even point in number of lawns 108 Break-even point in dollars $ 7560 AE18-11 Airport Connection provides shuttle service between four hotels near a medical center and an international...
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This note was uploaded on 11/06/2011 for the course ACCOUNTING ac 202 taught by Professor - during the Fall '11 term at Montgomery.
- Fall '11